First the Fed is more hawkish. Now the RBNZ continues by once again saying that the “currency level is unjustified, unsustainable”. They also omitted the comment that “further tightening will be necessary”.
The 0.7793 to 0.7811 should now be close resistance for the NZDUSD.
The NZDUSD has moved to new session lows on the comments, and also below the lows from last week (at 0.77938) on the headlines.
Looking at the daily chart, the price has also fallen below lower trend line support at the 0.7811 level.
The 0.77938-0.7811 is now the risk defining level for the pair. Stay below and the bears remain in full control.
The NZDUSD has moved below the bottom trend line at the 0.7811 level.
